Solution
Given :
Standard direct labor hours = 4.6 hours per unit
Standard variable overhead rate = $ 4.60 per hour
Actual direct labor hours worked = 9400
Actual variable overhead incurred = $ 44,940
Number of units of N06C = 2100 units
Therefore, output absorbed, V.OH = SHAO x budget OH/hr
= (2100 units x 4.6 per unit) x $ 4.60 per hour
= $ 44,436
The Input Absorbed V.OH = actual hours x budgeted OH/hour
= 9400 x $ 4.60 per hour
= $ 43,240
Therefore, the variable overhead rate variance is = $ 43,240 - $ 44,436
= $ 1196 (U)
Explanation:
The Journal entry is shown below:-
1. Supplies A/c Dr, $530
To supplies expenses $530
(Being supplies on hand is recorded)
2. Insurance Dr, $125
To Prepaid insurance $125
(Being Insurance for the month is recorded)
3. Depreciation Dr, $75
To Accumulated depreciation $75
(Being depreciation is recorded)
4. Unearned revenue Dr, $920
To service revenue $920
(Being unearned revenue is recorded)
5. Accounts receivable Dr, $330
To service revenue $330
(Being service accounts receivable is recorded)
6. Interest expenses Dr, $80
To Interest payable $80
(Being interest expense is recorded)
7. Salaries expense Dr, $1460
To Salary payable $1460
(Being salary expense is recorded)
Answer:
A
Explanation:
A budget constraint is a graph that shows all the combination of goods a consumer can consume given current prices and income of the consumer.
If income increases, the budget constraint will shift out parallel to the old
If income decreases, budget constraint will shift in parallel to the old one.
Answer:
rises; decreases
Explanation:
When the Fed sells US securities, it is engaging in a contractionary monetary policy. This means that they are trying to cool down the economy and lower inflation rate by reducing the money supply. This will lead to an increase in the federal funds rate and the whole economy's interest rates.
Since the Fed absorbs money from the banks and other investors, the quantity of banks' reserves decreases, which leads to less loans and higher interest rates charged.
Answer:
Comet's E&P will decrease by $50,000 due to the exchange.
Explanation:
50 of Pam's shares are worth 50 x $1,000 = $50,000, since the corporation is redeeming them, it will do so by decreasing its earnings and profits (retained earnings account).
Generally when larger corporations buy back stocks (AKA treasury stocks), they will credit cash and debit treasury stocks, but since Pam's stocks are being retired, they are not going to be held as treasury stocks, therefore E&P must decrease.
